What is a succession plan?
It is all about identifying and developing potential successors for key positions in your business, through systematic processes and training, which then enables an exit or gradual handover down the line.
Families all over the world enjoy the financial reward, strategic advantage, pride and the connection of having a successful family business. How do you protect what your family has worked so hard to build?
Many successful business owners don’t think about this early enough. That is why succession planning is so important.
"Every business needs a succession plan"
Why you need to put a succession plan in place now
Protect your business
In business succession planning, time is either your ally or your enemy. You can spend time planning for succession during your active business lifetime, or postpone planning and wait until the more chaotic, uncertain and expensive succession process occurs when it is too late - when the choice is no longer yours.
Clarity and agreement between all stakeholders
Developing agreed-upon strategies and corresponding plans of action provides management, staff and family with direction, purpose, and clear expectations.
Know the end goal
If everyone knows the end goal, how much easier would it be for you to run your day-to-day operations and plan your future in the business? How much easier would it be to handle and/or prevent disagreements? How much more likely would there be business harmony down the road?
While still sound in mind!
No-one knows what the future may hold for them; therefore it is critical to start the process of succession planning now.
Reluctance to accept the realities of time can have disastrous consequences, especially since timing issues are often beyond an owner’s control. Succession planning is a present necessity.
The lesson? Start early. Start thinking about succession and work with a financial professional to develop a succession plan before it’s an issue.
Please note – This report is provided for information only. No action should be taken without consulting detailed legislation or seeking independent professional advice. Therefore no responsibility for loss occasioned by any person acting or refraining from action as a result of the material contained in this report can be accepted.